Australian Job Losses

[doogie_goes_off]

I've got that says Newcrest will cull some Cu production and associated jobs, I'd bet a dollar but I've lost too many punts this year.

 

[MR.]

FORD will keep its Geelong car engine plant open beyond 2010, saving more than 1000 jobs.

 

[MR.]

Consolidated Minerals set to shed more than 180 staff and contractors by mid-December.

The Public Service Association (PSA) says 4,000 jobs will be cut over the next year because of New South Wales mini-Budget.

ANZ Bank is rumoured to be about to lay off 1,000 middle management roles.

Endeavour Mine recently announcing over 100 redundancies as zinc and lead production at the site is halved.

UP TO 87,000 Sydney jobs could be lost over the next year if a downturn in construction continues, developers say. ???????
("developers say" while asking the government for help)

Brisbane recruitment industry has been one of the first sectors hit in terms of job losses in the current economic downturn. As one rival recruiter said:""I have never seen it so quiet. People are employing still but they don’t want to pay the fees of recruiters or headhunters.’’

 

[numbercruncher]

UP TO 87,000 Sydney jobs could be lost over the next year if a downturn in construction continues, developers say

That would be wonderful - This would then bring Tradies wages under control at last ! and hopefully weed out some of the cowboys ...

 

[MR.]

- Hans smallgoods goes into voluntary administration. High-profile administrators KordaMentha have told 1400 workers in Queensland that their jobs are safe. Administrator Mark Mentha said the business will trade normally while a buyer is sought.

- American Express -- where 7000 jobs, including senior roles such as the Australian head of marketing, have gone.

- Relatively strong leading up to Christmas are the entertainment, packaged goods and charity sectors.
http://www.theaustralian.news.com.au/story/0,25197,24694413-7582,00.html

- NSW Government's recent mini-budget. A spokesperson for NCAHS said it was not yet possible to provide details of redundancies at individual hospitals, but confirmed the total number of NCAHS staff to be axed would be about 400.
http://www.dailyexaminer.com.au/storydisplay.cfm?storyid=3791201

- Elders Rural Services has announced it will cut its workforce by 140 employees
http://www.wabusinessnews.com.au/en-story.php?/1/68644/Elders-cuts-140-jobs-

- Volvo Commercial Vehicles Australia (VCVA) has defended its decision to make 130 of its Brisbane staff redundant one week before Christmas.
http://www.abcscience.net.au/news/stories/2008/11/20/2424605.htm?section=justin

- Hundreds of job losses at La Trobe and Victoria universities.
http://www.greenleft.org.au/2008/776/40023

 

[Smurf1976]

That would be wonderful - This would then bring Tradies wages under control at last ! and hopefully weed out some of the cowboys ...

Same could be said for lawyers and a few others as well. Their charges are truly ridiculous for providing a "service" they themselves have largely made "necessary" in the first place. Talk about rip off!

Create the demand, apply crippling penalites to anyone who tries to opt out, monopolise the supply and then charge a fortune. No tradie even comes close to that one.

Sadly, lawyers and their associates will be one group that probably benefits out of all of this. As with most things non-productive, it seems to be constantly expanding and by doing so is crippling real wealth creation via the production of real goods.

If they do exactly what they're supposed to do (which for obvious reasons nobody would actually do) then a self-employed tradie could spend 1 hour administering the business and buying materials, 3 hours doing actual productive work and 4 hours covering themselves "in case there's a lawyer around" in an 8 hour working day. Such is the huge cost of the legal system and the practice of winning cases on technicalities and ridiculous things such as some fool stepping in a hole that was clearly visible because they weren't looking where they were walking.

Get rid of all the silly law suits, just retain the genuine things and not burglars cutting themselves on the glass they broke etc, and we'll instantly double that tradie's output to 6 hours of real work, 1 hour administering and buying things, 1 hour making sure NECESSARY rules and regs, as distinct from all the pointless ones, are followed.

So there's no need to put 87,000 people out of work to bring down rates. Just get rid of all the ridiculous red tape and that'll fix this and a lot of other problems. By making the economy more productive, it should create wealth in the long term. That's the fundamental theory behind every economic reform we've had over the past quarter century.

 

[Illuminated one]

You know, this maybe not be the smartest comment on here, but i hope China and India goes under and Manufacturing is brought back to Australia, so the work force can be re-established, since those blood suckers in China and India produce the most toxic, crappiest products known to man.

Losing Jobs in a country like Australia is BS, foreign corporate greed is trying to exploit Aussie workers and we shouldn't let this happen!

 

[michael_t_f]

Numbercruncher have you ever done a days work as a tradie? I think we earn our money, yes we get some jobs which are easy but some days I come home and I am physically worn out.
At least a tradesperson is producing something in return for money.

 

[Illuminated one]

Numbercruncher have you ever done a days work as a tradie? I think we earn our money, yes we get some jobs which are easy but some days I come home and I am physically worn out.
At least a tradesperson is producing something in return for money.

Tradies are by far one of the most important professions on earth! Without tradies we would be living in caves and ****ting in dug up holes and have no electricity, anyone who states that tradies don't work hard are absolutely ignorant fools and stereotype, it depends on the person, if he is slack, then he won't go very far and won't get paid a whole lot of money.

 

[doctorj]

You know, this maybe not be the smartest comment on here, but i hope China and India goes under and Manufacturing is brought back to Australia, so the work force can be re-established, since those blood suckers in China and India produce the most toxic, crappiest products known to man.

Losing Jobs in a country like Australia is BS, foreign corporate greed is trying to exploit Aussie workers and we shouldn't let this happen!

This is a well-worn argument. The next step is to call for import tariffs and increases in subsidies to keep jobs in Australia. As long as Australia is ok, who cares about the other countries right?

As tempting as that course of action may be, the reality is it has been proven time and again that it just doesn’t work. Protectionism has a vastly negative impact on global GDP and by extension employment levels.

There is a considerable amount of literature on the role protectionism played in causing The Great Depression that is relevant to this discussion that’s just a well-directed google query away. Furthermore recent history’s failure of the decoupling theory is a lesson that the success (or failure) of any given economy is highly correlated with that of other countries. Protectionism is detrimental to world GDP and therefore would eventually damage the economies of those countries that implement it.

As for manufacturing in Australia, the fact is that Australia’s highly educated work force has a competitive advantage exporting high value things such as intellectual property and education than volume driven, low margin items. We can’t compete with China’s manufacturing, but the good news is that we shouldn’t have to.

All that said, I think Australia needs to move away from it’s reliance on extractive and agricultural industries. These markets are highly cyclical, volatile and by nature finite endeavours.

 

[numbercruncher]

Oh dont get me wrong - yes i realise many tradies work hard, some even deserve the earnings, and many other professions are also currently in bubble wages.

Global recession will sort out the bubble wages - maybe soon the average Australian Granny will be able to afford to have her dunny fixed ?

Numbercruncher have you ever done a days work as a tradie?

Ive done stacks of physical work - never any brick/concrete work , thats about the only trade I would consider really physically hard - but saying that they are typically rip off prices too so tend to bludge alot -

The Rudd Gov is getting desperate to keep the game going, looking like they will blow all Australias cash and fail to boot ....

Oh well everyone loves a punt no ?

 

[numbercruncher]

You know, this maybe not be the smartest comment on here, but i hope China and India goes under and Manufacturing is brought back to Australia, so the work force can be re-established, since those blood suckers in China and India produce the most toxic, crappiest products known to man.

Losing Jobs in a country like Australia is BS, foreign corporate greed is trying to exploit Aussie workers and we shouldn't let this happen!

Yes the Globilisation experiment in its current unregulated poorly managed form is pathetic.

Pro-globalists will argue otherwise with lots of fancy sounding theorys and historical proofs which is just laughable considering how young this little experiment is (that is currently facing its first stress test).

Australia would be well served to form trade blocks with countries of similar agendas - I have a feeling the Fight against climate change and things like carbon trading will facilitate this.

Places like China are already closing factories faster than they went up, the business plan of currency manipulation and razor thin margins is finally up.

Interesting times

 

[numbercruncher]

never ending job losses ...

MACQUARIE Group is preparing a savage cut of its Australian and global workforce.

Hundreds of jobs are at risk overall as the bank positions itself for a global investment banking rout.

http://www.theaustralian.news.com.au/business/story/0,28124,24736281-643,00.html

 

[doctorj]

The Rudd Gov is getting desperate to keep the game going, looking like they will blow all Australias cash and fail to boot ....

Oh well everyone loves a punt no ?

What's wrong with spending a swag of money?

Public debt isn't great, but what is the alternative to the Keynesian approach? Deflation?

Deflation sounds like a nice idea - who wouldn't want to pay less for things? But what does that mean? Why would people/firms buy today when they know they can buy tomorrow for less? Where do employee wages come from when people are delaying (and reducing) their spending?

Government spending should be countercyclical and I think it's fair to say Australia has done this through the budget surplus and the future fund (etc). So if we've saved during good times, what is the harm in spending when it's bad? Where will your tax dollar come from tomorrow when everyone's unemployed?

 

[numbercruncher]

If it was spent on infrastructure or something constructive sure .....

But they are just divving it out " hoping " people will spend it ! what a stupid plan I reckon .... even im getting thousands that go straight into the bank account, does nothing for the economy and im sure plenty of others are in the ame boat.

They are handling the issue poorly imho.

Hopefully once they start taking on serious debt to keep the welfare state alive they atleast roll out infrastructure like Obama plans to.

Anyway, what have you got against deflation ? everyhings getting cheaper, fun fun !

 

[Illuminated one]

Apparently 67,500 factories have already shut in China, those numbers are staggering!!!

 

[doctorj]

If it was spent on infrastructure or something constructive sure .....

Infrastructure is good because its something tangible provides lasting benefits to an economy or society. The downside is the spending is actually very long-tail. Once you set aside money for an infrastructure project, it's often years in the planning before any real money is spent and therefore it comes in too late to be of any benefit. You're right that stimulation through tax breaks or the like isn't great either as people might save, but at least the portion spent stimulates the economy. Ideally, the solution would be some mix of long and short tail stimulus packages.

But they are just divving it out " hoping " people will spend it ! what a stupid plan I reckon .... even im getting thousands that go straight into the bank account, does nothing for the economy and im sure plenty of others are in the ame boat.

Savings are an important part of any bank's capital base - but that's another argument for another day.

Anyway, what have you got against deflation ? everyhings getting cheaper, fun fun !

I think my original post covers why I'm not a fan of deflation.

 

[Aussiejeff]

Apparently 67,500 factories have already shut in China, those numbers are staggering!!!

[size=-4]*psssttt!!!* - don't tell Swannie - he'll have a fit[/size]

 

[Julia]

What's wrong with spending a swag of money?

Public debt isn't great, but what is the alternative to the Keynesian approach? Deflation?

So if we've saved during good times, what is the harm in spending when it's bad? Where will your tax dollar come from tomorrow when everyone's unemployed?

Your point is well made. But let's not forget that politically the resulting deficit is going to be unpalatable and taxes will rise to deal with it.

 

[Bushman]

Apparently 67,500 factories have already shut in China, those numbers are staggering!!!

Aren't there millions of factories in China?

I would say this number equates to less than 1%.